Sula Vineyards Ltd

Sula Vineyards Limited is India’s largest wine producer and seller as of March 31, 2022. It has been a consistent market leader in the Indian wine industry in terms of sales volume and value (based on the total revenue from operations) since Fiscal 2009 crossing 50% market share by value in the domestic 100% grapes wine market in Fiscal 2012. (Source: Technopak Report)

The company's business can be broadly classified under two categories:

1. The production of wine, the import of wines and spirits, and the distribution of wines and spirits (the Wine Business); and
2. The sale of services from ownership and operation of wine tourism venues, including vineyard resorts and tasting rooms (the Wine Tourism Business).

However, since the Wine Tourism Business is incidental and complements the overall Wine Business, the company's chief operating decision makers (which includes CEO, CFO, COO, and members of the board) monitor and review the operating result of the Group as a single operating segment of manufacture, purchase, and sale of alcoholic wines and spirits.

The company distributes wines under a bouquet of popular brands. In addition to the flagship brand “Sula,” popular brands include “RASA,” “Dindori”, “The source,” “Satori”, “Madera” & “Dia” with its flagship brand “Sula” being the “category creator” of wine in India. Currently, it produces 56 different labels of wine at four owned and two leased production facilities located in the Indian states of Maharashtra and Karnataka. The company serviced close to 8,000 hotels, restaurants and caterers, which makes it the leader in terms of footprint among wine players in India, and experienced a significant rise in its off-trade sales in the last 3 years with off-trade sales contributing 72.25% of the company’s secondary sales during Fiscal 2022, compared to 61.33% in Fiscal 2020.

As India’s largest wine producer, the company aims to harness its market leadership position for future growth opportunities in the Indian wine market with its wide range of offerings for consumers across various price points. Its consumer proposition focuses on offering consumers extensive varieties of wine at varying price points, with 56 labels to choose from, from a portfolio of 13 distinct brands as of September 30, 2022. Furthermore, its wines are available at various price points between ₹250 to ₹1,895 per 750 ml bottle in Maharashtra, making them accessible for consumers with different budgets - appealing to mass markets as well as having a premium product strategy.